Levi & Korsinsky files class action for ZoomInfo shareholders in New York

On September 13, 2024, Levi & Korsinsky, LLP announced the filing of a class action securities lawsuit on behalf of investors in ZoomInfo Technologies Inc. The lawsuit targets alleged securities fraud that occurred between November 10, 2020, and August 5, 2024. The complaint claims that the company misrepresented its financial health by inflating results due to temporary demand spikes from the COVID-19 pandemic, while also concealing significant customer dissatisfaction and coercive retention practices. The allegations include that many customers were either reducing their use of ZoomInfo's services or abandoning them entirely. Furthermore, the lawsuit asserts that the company employed manipulative auto-renewal policies and threats of litigation to retain customers against their will. These tactics reportedly harmed customer relationships and created a hidden demand cliff for future contract renewals. As a result of these practices, the lawsuit contends that ZoomInfo's reported revenues and customer retention metrics were significantly overstated. Investors who suffered losses during the specified period are encouraged to act quickly, as they have until November 4, 2024, to request appointment as lead plaintiff in the case. Levi & Korsinsky has a strong track record in securities litigation, having secured substantial recoveries for shareholders over the past two decades. The firm has consistently ranked among the top securities litigation firms in the United States, indicating its capability to handle high-stakes cases effectively.